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How Does Government Provision of Public Goods Solve the Free

Question 123

Multiple Choice

How does government provision of public goods solve the free rider problem?


A) Governments can impose compulsory taxes to pay for public goods.
B) Governments can convert nonrival goods to rival goods by assigning property rights.
C) Governments can tax public goods to prevent over-use of the resources.
D) Governments cannot solve the free rider problem

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